Cargo Insurance

Lack of risk management and cargo insurance may swiftly erode profitability and harm the reputations of small- to medium-sized shippers. “Game Over” is a steep price to pay for being caught off guard by an unanticipated hiccup in your supply chain. Cargo insurance is a helpful instrument that may be utilized to offer some financial security against cargo loss or damage to address that issue. Additionally, it lowers legal issues by establishing clear guidelines for payment obligations between purchasers and sellers in the event of damage.

The most comprehensive sort of coverage available in the market for shippers is a type of coverage known as “All Risk” insurance. It is a specially tailored insurance policy created to safeguard products against all risks of physical loss or damage due to any outside source while being transported internationally and domestically.

Coverage and Advantages

General Average: The policy offers coverage if the owner of the vessel declares a general average.
Industry-leading mechanical breakdown coverage for perishable/refrigerated cargo – The insurance covers loss or damage caused by derangement, breakdown, or malfunction of the reefer unit, and must endure for at least 12 (the industry standard is 24) continuous hours. If the party in possession of the goods was negligent and the loss or damage resulted, coverage is offered.
This applies to all forms of transportation used in the worldwide supply chain and provides a zero deductible for certified general products.
Benefits and Coverage
Import Duties – The policy allows for the inclusion of duty paid in the claim if the items arrive damaged at the destination.
Damage caused by customs or other governmental entities during the inspection of the goods is covered.
Pairs/Sets – If one item in a pair or set is damaged, the coverage for the set or pair is also extended.
In the case of a claim, coverage is expanded to cover Expediting Expenses, which helps to hasten replacement or repairs.
Civil unrest, riots, and strikes
There are several exclusions, just as with any insurance policy, including those for delays, inherent vices, inadequate packing, and pre-existing ailments.